💰 Time to put value first

How advertisers are adapting to the new economy

Author

Acceler8 Labs
September 04, 2024


🚀 As the economy shifts, advertisers need to look towards new metrics to succeed, plus we tackle TikTok’s back to school trends and share our BFCM playbook ⤵️.

From the Founders: It’s time to put value first

We're seeing a massive shift in the digital advertising landscape, and it's forcing brands to get creative.

Here's the situation: ad costs are skyrocketing, the economy is tightening and consumers? They're getting pickier about where they spend their hard-earned cash.

So what's a savvy marketer to do?

It's time to rethink what "value" really means to your customers (and it’s not a “20% off” banner) AND what value means to you as a brand.

But what do we mean by value?

Let's break it down:

Rising Costs, Shrinking Margins: CPMs are through the roof, and competition on digital platforms is fierce. The days of cheap clicks are over, folks. This means every new customer acquisition is more expensive, putting the squeeze on your margins.

Selective Spending: Consumers aren't just looking for the lowest price anymore. They're investing their time and money with brands that offer something more. It's not just about the product; it's about the entire experience. Higher margins can mean bigger profits IF your customers feel they’re coming out on top of a deal.

Value Beyond the Price Tag: Now, this is where it gets interesting. Value isn't just a numbers game anymore. It's about: 

  • Superior customer service that makes people feel heard 

  • Giving the BEST product for value, not just the cheapest option

  • Aligning with customer values (sustainability, anyone?) 

  • Smart bundling that solves multiple problems and saves time

  • Building a community that customers want to be part of

The Trust Factor: With wallets tightening, trust is currency. Brands that can build and maintain trust are the ones that'll weather this storm. How? By consistently delivering on their promises and being transparent about their value proposition.

Personalization at Scale: Here's where AI and machine learning come in clutch. By offering the right customers an increased value (not just a discount to make a one-and-done conversion) at the right time, you can help increase your bottom line AND give them a better buying experience.

Use these tools to understand your customers better and deliver tailored value propositions that resonate on a personal level instead of 20 variations on the same old discounts.

The Bottom Line:

The brands that'll win in this new landscape are the ones thinking beyond the price war. It's about creating a value ecosystem that makes customers feel like they're getting more than just a product – they're getting an experience, a relationship, a solution to their problems and a purchase that will last.

So, marketers, it's time to ask: How are you redefining value for your customers? Are you still playing the old game, or are you shifting gears to meet the new reality?


Niket Shah
Co-Founder, Acceler8 Labs

As we navigate the ever-changing landscape of consumer behavior, understanding Gen Z's latest trends is crucial for marketers and brands. Ad Age's recent report highlights five key trends that are capturing the attention of this influential demographic. Let's break them down and explore what they mean for your marketing strategy.

1. The Consumption Paradox: Underconsumption vs. Back-to-School Hauls

Gen Z is currently torn between two conflicting trends:

  • Underconsumption: A movement rejecting influencer culture and excessive buying.

  • Back-to-School Hauls: Videos showcasing large purchases of clothing, beauty products, and school supplies.

What it means for brands: This paradox presents an opportunity to balance aspirational content with messages of sustainability and mindful consumption. Consider how your brand can cater to both sides of this trend.

2. The Return of RushTok

Sorority and Frat recruitment content is back in full force on TikTok, with #RushTok and #BamaRush hashtags garnering hundreds of thousands of videos.

What it means for brands: This trend offers a unique opportunity to reach Gen Z during a highly engaging period. Brands like Poppi, Gymshark, and Prime have successfully collaborated with sororities to tap into this audience.

3. "Demure Fall" Takes Center Stage

Gen Z is shifting from the bold "Brat Summer" to a more subdued "Demure Fall" aesthetic, embracing neutral fashion and "clean girl" looks.

What it means for brands: Consider how your products or messaging can align with this new, more understated aesthetic. Brands like Poppi, Bubble, and Ipsy have already created content distinguishing "bratty" from "demure" styles.

4. Halloween Comes Early

Gen Z's enthusiasm for Halloween is starting earlier than ever, with decor and costume planning beginning as early as August 1st.

What it means for brands: There's a longer window to engage with Halloween-themed content and products. Consider launching Halloween campaigns earlier to capture this extended season of interest.

5. The Rise of "Hopecore"

In response to the negativity often found on social media, Gen Z is embracing uplifting and inspirational content dubbed "hopecore."

What it means for brands: There's a growing appetite for positive, feel-good content. Consider how your brand can contribute to this trend with uplifting messages or by highlighting acts of kindness.

Key Takeaways for Marketers

  1. Embrace the Paradox: Find ways to appeal to both the underconsumption movement and the desire for aspirational content.

  2. Tap into Seasonal Trends: From RushTok to early Halloween, be prepared to engage with Gen Z's enthusiasm for seasonal content.

  3. Stay Agile: Gen Z trends can shift quickly, as seen in the move from "Brat Summer" to "Demure Fall." Be ready to adapt your messaging and aesthetics.

  4. Spread Positivity: With the rise of "hopecore," consider how your brand can contribute to a more positive social media environment.

  5. Authenticate Your Approach: Whatever trend you decide to engage with, ensure your brand's involvement feels genuine and aligned with your values.

By staying attuned to these trends and understanding their implications, brands can better position themselves to connect with Gen Z in meaningful ways.

Remember, the key is not just to follow trends, but to engage with them in a manner that feels authentic!

🔍 Insider Info: Your winning BFCM strategy starts now!

Black Friday Cyber Monday (BFCM) is a make-or-break moment for DTC brands. Simple discounts won't cut it anymore—it's about creating experiences that turn shoppers into lifelong fans.

Our updated playbook covers:

  • Mobile optimization essentials

  • AI-powered ad strategies

  • UGC and personalization tactics

  • Data-driven customer journey optimization

We've distilled years of experience into actionable strategies that work. From inventory planning to post-BFCM retention, we've got you covered.

In today's digital landscape, creating seamless, personalized experiences is key to turning one-time shoppers into loyal customers.

Ready to make this your biggest BFCM yet? The brands that win big start planning now.

Weekly Roundup: Major News in Digital Advertising and E-Commerce

Morph Current Affairs GIF by Aardman Animations

Gif by aardman on Giphy

Here are the key stories you need to know from this week’s digital marketing news:


👓 AR Glasses Showdown: Snap and Meta gear up to showcase their latest AR glasses, vying for dominance in the next big wave of tech.

Discover more.

🔍 Perplexity AI Enters Search Ads: Perplexity AI is set to introduce search ads in Q4, marking its first foray into monetization.

Learn the implications.

💬 Threads Teases Sponsored Posts: Threads is hinting at upcoming sponsored posts, signaling the start of its monetization strategy.

Get the details.

🎵 TikTok's Songs of the Summer: TikTok reveals the top tracks of the summer, reflecting what’s been trending across the platform.

Check out the hits.

That’s a wrap for this week’s edition of Ad Insider!

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